Greetings,

I'm really struggling with this problem, including how to calculate the salvage value. Any help is greatly appreciated. Thank you for your time!

A non-profit must purchase mowers for its campus. The organization can buy seven EVF mowers that cost $8,500 each and have annual, year-end maintenance costs of $1,950 per mower. The EVF mowers will be replaced at the end of Year 5 and have no value at that time. Alternatively, the organization can buy eight AEH mowers to accomplish the same work. The AEH mowers will be replaced after eight years. They each cost $7,500 and have annual, year-end maintenance costs of $2,250 per mower. Each AEH mower will have a resale value of $700 at the end of eight years. The organization's opportunity cost of funds for this type of investment is 9 percent. Because the organization is a nonprofit institution, it does not pay taxes. It is anticipated that whichever manufacturer is chosen now will be the supplier of future mowers. The EAC for the seven EVF mowers is -$28,947.00

Finding a similar solution with a negative value indicated by a minus sign, not rounding intermediate calculations, and rounding an answer to two decimal places (e.g. 85.11), what is the EAC for the eight AEH mowers?